Imperial Brands' vaping investment extends division's losses

Imperial Brands (IMB) continues to bring home the bacon for income investors. The tobacco giant pointed to a “material step-up in shareholder returns” in its results, as it increased its annual dividend for the third year in a row and continues with a £1.1bn buyback programme. Backing up the return of capital is strong cash generation, with free cash flow coming in at a very healthy £2.4bn, even if this was an 8 per cent drop year-on-year.